| Document Reference | ||||
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| Release on Minimum Documentation (RMD) | |||||||||||||||
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| Pre-Arrival Review System (PARS) | |||||||||||||||
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PARS releases may be submitted
up to 10 days prior to the actual arrival of the goods. The release
recomendation will be in Customs' system if the documentation has been submitted
at least:
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| Customs Commentary | |||||||||||||||
| In correspondence to the Canadian Society of Customs Brokers, Paul Miller, Manager of Commercial Service Quality, comments: | |||||||||||||||
| In October, we completed an internal time study at a representative sample of customs commercial offices across the country to determine the current processing times for both RMD and PARS releases. Three types of offices were studied: land border, inland and airports. This study proved useful, not only for the data regarding processing times but also for bringing to light variances in processing methods which could have an effect on processing times. | |||||||||||||||
| This final version [of the service standards] has three main differences from the previous one: | |||||||||||||||
| 1. Machine release has been added to the FROM portion of RMD with a target of 5 minutes from point of reception by our system until the point of exit from our system. | |||||||||||||||
| 2. The PARS service option portion has been re-written to place the focus on the initial PARS presentation, review and processing prior to the arrival of the goods. At this point, there are too many variables to allow us to establish meaningful targets for the release of PARS upon arrival of the goods: e.g., if released at the PIL booth in highway mode the release may take seconds, whereas, if required to be presented in the office it may take up to an hour; LTL shipments referred into the customs office if more than five transactions; some offices having dedicated bins or lines for driver-waiting PARS depending on the office design and volume of shipments. | |||||||||||||||
| 3. Cash release requests are not included for several reasons; e.g., low volumes of these releases during our time studies at various offices; variations in method of processing for cash entries at some offices; ongoing implementation of CCEPS (Customs Commercial Cash Entry Processing System) which should perhaps have a standard of its own. | |||||||||||||||
| It is important to note that these initial commercial standards are a starting point, to add consistency and reliability to our current processing of PARS and RMD service options. Many offices are currently meeting or exceeding these times; however, there are offices which will find these times a challenge. | |||||||||||||||
| You will also note that the processing times for EDI are almost three times faster for RMD and twice as fast for PARS compared to paper transactions. This difference is due to legitimate resource and time savings associated with EDI. It is also consistent with the stated direction of the Department to utilize and promote EDI in our business dealings with clients, to the mutual benefit of both our clients and the Department. [emphasis added] | |||||||||||||||
| These initial standards may not be as comprehensive nor as ambitious as some of our clients have suggested; however, I am hopeful that these standards will be viewed as a good first step to give us a basis for monitoring and improving the consistency in release processing timer. Over time, it is our intention to improve the delivery targets, where feasible, and add new standards for other service options for release, accounting and post accounting services... | |||||||||||||||
| We believe that these standards
are heading us the right direction. The addition of the AMD machine release service
option, combined with the fact that brokers can apply for machine release for
their clients should send a strong message of the Department's commitment to EDI.
The significantly shorter processing times for EDI compared with paper transactions
for both RMD and PARS are further evidence that we are moving in the same direction
as business in promoting EDI and taking advantage of its benefits. |
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| What this means to you | |||||||||||||||
| In addition to providing increased certainty to the importing community in terms of what to expect at the border, the proposed service standards for RMD and PARS clearly demonstrate the advantages of PARS and the electronic transfer of customs data utilizing EDI and ACROSS. By taking advantage of these release initiatives, importers will reap the obvious benefits of improved clearance times (2-3 times as fast as paper-based clearances, according to Customs) with fewer delays and problems. | |||||||||||||||
| Russell A. Farrow Limited has been an active participant in various Customs2000 initiatives (e.g., PARS and ACROSS) and a strong proponent of the move towards a more fully electronic customs environment. We have taken the steps needed to ensure that our own service standards are fully compliant with those of Revenue Canada and are now actively working with Customs to expand the scope of the ACROSS initiative to include those commodities not currently covered by the program (i.e., certain goods subject to OGD requirements). | |||||||||||||||
| As an importer, for you to take full advantage of the latest clearance technologies and enjoy significantly faster release times (see the highlighted comments from Customs above), it is essential that you encourage both your transportation providers and foreign suppliers to participate in the PARS process whenever possible. If we can be of assistance to you in achieving this objective, please let us know. | |||||||||||||||
| For more information on the ACROSS program and electronic release terminology, please refer to our ACROSS FAQ. |
The information contained herein is not intended to provide legal or other professional advice.
Readers are asked to contact Russell A. Farrow Limited for advice specific to their needs.
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For additional technical
information: Bob Beausoleil/RAF—Research & Development or info1@farrow.com |